Expert legal advice from The Competition Lawyers

End of contract alerts to be initiated in the UK

First published by Author on May 15, 2019 in the following categories: Industry Latest Pricing and tagged with | |

investigation into retail banking competition

We welcome the move to enforce end of contract alerts, which is set to put the consumer firmly back behind the steering wheel when it comes to their contracts for key services.

From February 2020, broadband, phone and TV companies will have to notify their customers when they’re close to the expiry date of their contract. They’ll also have to provide information about pricing and better deals they can offer, as well as clearer information about how to cancel.

The move is aimed to stop consumers aimlessly walking into new contracts and not knowing when their current term has elapsed. This ties in with  the loyalty penalty super complaint, and is designed to make sure the consumer is put first.

About the end of contract alerts

The systems for end of contract alerts will need to be in place by February 2020. Customers will be notified by their broadband, phone and TV providers when their contract is due to expire, and they’ll also be given other key information to help them decide whether to stay or go.

Customers will need to be notified by email, text or by letter between 10 and 40 days before the end of the contract period.

Information companies must provide

End of contract alerts must provide important information to customers, which includes:

  • The end date of the contract;
  • The price they’ve been paying during their contract;
  • Any changes to price if they renew;
  • Information about how to cancel;
  • Better deals they can offer to them;
  • Prices that new customers are being offered.

That last one is incredibly important. Many people are hooked in on new customer deals, and then see prices rise as opposed to loyalty being rewarded. This new way of informing customers should give the consumer a better chance at a better choice.

For healthy competition, this is hugely important.

End of contract alerts = end of overpaying?

Hopefully, this new end of contract alerts system should help to put an end to consumers overpaying for their services.

At the very least, it should allow for a far better chance for the consumer to switch to a different provider and save themselves money.

Broadband, phone and TV packages have, for some time now, been some of the major causes for consumer overpaying and reduced competition. We look forward to the changes being implemented and look forward to seeing more consumers paying less fort their services moving forward.

The content of this post/page was considered accurate at the time of the original posting and/or at the time of any posted revision. The content of this page may, therefore, be out of date. The information contained within this page does not constitute legal advice. Any reliance you place on the information contained within this page is done so at your own risk.
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